Zacks Research Expects Higher Earnings for Gilead Sciences

Key Points

• Zacks Research raised Gilead Sciences’ FY2026 EPS estimate to a loss of $0.65 per share from a projected loss of $1.05, though this remains below the consensus estimate of a $0.53 loss.
• Gilead’s latest quarterly results exceeded expectations, with EPS of $(6.75) versus the $(7.25) consensus and revenue of $7.8 billion, up 10.6% year over year.
• Analyst sentiment remains generally positive, with a consensus “Moderate Buy” rating and a $158.04 target price; the company also declared a quarterly dividend of $0.82 per share, yielding about 2.2%.

Gilead Sciences, Inc. (NASDAQ:GILD - Free Report) - Equities research analysts at Zacks Research increased their FY2026 earnings per share estimates for Gilead Sciences in a research note issued to investors on Tuesday, August 18th. Zacks Research analyst Team now forecasts that the biopharmaceutical company will earn ($0.65) per share for the year, up from their prior estimate of ($1.05). The consensus estimate for Gilead Sciences' current full-year earnings is ($0.53) per share.

Gilead Sciences (NASDAQ:GILD - Get Free Report) last issued its earnings results on Monday, August 3rd. The biopharmaceutical company reported ($6.75) EPS for the quarter, topping analysts' consensus estimates of ($7.25) by $0.50. The firm had revenue of $7.80 billion for the quarter, compared to the consensus estimate of $7.40 billion. Gilead Sciences had a negative return on equity of 2.11% and a negative net margin of 10.64%.The company's revenue was up 10.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.01 earnings per share.

A number of other research analysts have also issued reports on the company. Weiss Ratings lowered Gilead Sciences from a "buy (b-)" rating to a "hold (c-)" rating in a research report on Tuesday, August 11th. Maxim Group raised shares of Gilead Sciences from a "hold" rating to a "buy" rating and set a $165.00 price target for the company in a report on Wednesday, May 20th. Morgan Stanley reduced their price objective on shares of Gilead Sciences from $166.00 to $165.00 and set an "overweight" rating for the company in a research report on Monday, July 27th. Rothschild & Co Redburn decreased their price objective on shares of Gilead Sciences from $170.00 to $167.00 in a report on Monday, May 11th. Finally, HSBC upgraded shares of Gilead Sciences from a "hold" rating to a "buy" rating and lifted their target price for the company from $133.00 to $155.00 in a research report on Monday, July 6th. Twenty-four research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, Gilead Sciences presently has a consensus rating of "Moderate Buy" and a consensus target price of $158.04.

Gilead Sciences Stock Performance

Shares of GILD stock opened at $147.60 on Thursday. The company has a current ratio of 1.27, a quick ratio of 1.09 and a debt-to-equity ratio of 2.03. Gilead Sciences has a 12-month low of $108.46 and a 12-month high of $157.29. The business's 50 day moving average is $131.21 and its two-hundred day moving average is $136.51. The company has a market capitalization of $183.02 billion, a P/E ratio of -55.28 and a beta of 0.32.

Gilead Sciences Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 29th. Investors of record on Tuesday, September 15th will be given a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a dividend yield of 2.2%. The ex-dividend date is Tuesday, September 15th. Gilead Sciences's payout ratio is presently -122.85%.

Insider Activity at Gilead Sciences

In other news, insider Johanna Mercier sold 28,000 shares of the stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $137.64, for a total value of $3,853,920.00. Following the completion of the sale, the insider directly owned 118,234 shares in the company, valued at $16,273,727.76. This represents a 19.15% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Andrew D. Dickinson sold 3,000 shares of the business's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $138.36, for a total transaction of $415,080.00. Following the transaction, the chief financial officer owned 165,646 shares in the company, valued at $22,918,780.56. The trade was a 1.78% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 82,000 shares of company stock valued at $10,837,860. 0.30% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in GILD. Wedbush Securities Inc. grew its holdings in Gilead Sciences by 3.9% in the 2nd quarter. Wedbush Securities Inc. now owns 25,113 shares of the biopharmaceutical company's stock valued at $3,173,000 after buying an additional 946 shares in the last quarter. Hennessy Advisors Inc. raised its holdings in shares of Gilead Sciences by 24.7% during the 2nd quarter. Hennessy Advisors Inc. now owns 85,199 shares of the biopharmaceutical company's stock worth $10,764,000 after acquiring an additional 16,899 shares during the period. Spinnaker Trust raised its holdings in shares of Gilead Sciences by 10.8% during the 2nd quarter. Spinnaker Trust now owns 1,844 shares of the biopharmaceutical company's stock worth $233,000 after acquiring an additional 180 shares during the period. New Mexico Educational Retirement Board boosted its position in shares of Gilead Sciences by 7.3% during the 2nd quarter. New Mexico Educational Retirement Board now owns 61,726 shares of the biopharmaceutical company's stock valued at $7,798,000 after acquiring an additional 4,200 shares during the last quarter. Finally, Mufg Securities Americas Inc. boosted its position in shares of Gilead Sciences by 8.9% during the 2nd quarter. Mufg Securities Americas Inc. now owns 37,394 shares of the biopharmaceutical company's stock valued at $4,724,000 after acquiring an additional 3,064 shares during the last quarter. 83.67% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Gilead Sciences

Here are the key news stories impacting Gilead Sciences this week:

• Positive Sentiment: BMO Capital reaffirmed its Buy rating on Gilead, supporting the bullish view that the company’s recent momentum can continue. BMO Capital reaffirms Buy rating
• Positive Sentiment: Zacks Research raised estimates for third-quarter 2026 EPS to $1.93 from $1.84, fourth-quarter 2026 EPS to $2.14 from $2.07, and full-year 2027 EPS to $9.30 from $9.11. It also lifted estimates for parts of 2027, indicating improving expectations for near-term earnings. Gilead Sciences analyst estimates
• Positive Sentiment: Investors remain focused on Gilead’s expanding HIV portfolio. Biktarvy continues to anchor sales, while Yeztugo and additional pipeline programs could create new treatment and prevention opportunities. The company’s latest reported revenue also increased 10.6% year over year to $7.8 billion, exceeding expectations. Gilead's expanding HIV portfolio
• Positive Sentiment: Gilead’s quarterly dividend of $0.82, equivalent to $3.28 annually, provides ongoing income support and reinforces its appeal to defensive and healthcare-focused investors.
• Neutral Sentiment: Zacks reduced estimates for first-quarter 2028 EPS to $2.14 from $2.21, second-quarter 2028 EPS to $2.27 from $2.33, and full-year 2028 EPS to $9.58 from $10.00. These cuts temper the otherwise positive near-term revisions and suggest some uncertainty about longer-term growth.
• Negative Sentiment: Chief Commercial Officer Johanna Mercier sold 28,000 shares, while CFO Andrew Dickinson sold 3,000 shares. Both transactions were made under pre-arranged Rule 10b5-1 plans, limiting their significance, but the sales may modestly weigh on sentiment.

About Gilead Sciences

Gilead Sciences, Inc, founded in 1987 and headquartered in Foster City, California, is a biopharmaceutical company focused on the discovery, development and commercialization of medicines in areas of high unmet medical need. The company initially built its reputation in antiviral therapies and has since expanded into oncology, cell therapy and inflammatory diseases. Gilead operates a global research and commercial organization, conducting clinical development and selling medicines in markets around the world.

Gilead's product portfolio is anchored by antiviral therapies for HIV and viral hepatitis.

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